Buying gold stocks is preferable to buying gold itself, says Ari Wald of Wolfe Research. Exhaustion in the gold/NYSE gold miners index means the ratio has now moved in favour of stocks. This signal is enhanced by bearish divergence in the weekly RSI.
Gold should see improved sentiment and a slowdown in selling during Q1, according to Max Knudsen of ADS Securities. This year has seen the best period of buying in 15 months with the potential for prices to reach $1300. Knudsen also discusses rising sentiment in the platinum market.
Andy Dodd, head of technical research at Louis Capital Markets, presents his trade ideas for 2014, including analysis of the IBEX, Nikkei, FX and gold.
Riccardo Ronco of Aviate Global has noted that the VIX/MOVE ratio (S&P/T Note vol) has recently hit a low after moving in a well defined trading range over the last 20 years. This, he says, indicates that equity versus volatility will increase significantly in 2014.
A close below 1.3526 would open the way for further declines to 1.3402 for EUR/USD, according to George Davis at RBC Capital Markets. The 200-day moving average at 1.3354 is a further test with resistance at 1.3634 and 1.3697 expected to attract more selling interest.
Maxime Viemont, head of technical and quantitative strategies at BNP Paribas Personal Investors, presents his weekly technical review for 21 January. His research covers equities, bonds, FX , and commodities.
As the Amazon share price continues to rise, breaking through a key level at 397.03, the stock may be set to rise further still to 472.53, according to Walter Zimmermann at United-ICAP.
Trading in USD/JPY since September has seen selling interest repeatedly fail to continue for more than 3 days in a row, says Max Knudsen at ADS Securities . Against this background the forecast is to be cautious and expect no new momentum until prices break 102.99- 103.54.
Clive Lambert of FuturesTechs gives his in-depth short and longer-term outlook for bund futures for 2014. This includes analysis of the potential formation of a significant head and shoulders pattern.
A bottoming pattern in the FTSEMIB vs MXWO ($ adj) could mean a significant outperformance by the Italian index if the ratio resistance level (see chart) is broken, according to Riccardo Ronco at Aviate Global.